CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin For Beginners
    • Bitcoin & Crypto Guides 101
  • IEO & ICO List
    • IEO & ICO List
    • Token Sale Evaluations
    • Airdrops
  • Fund
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Bitcoin & Crypto Margin Trading
  • Bitcoin Price Analysis
  • The ICO & IEO List
  • CryptoPotato Crypto Fund
  • Airdrops
  • Ethereum Price Analysis
  • Ripple Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
  • bitcoin
    BTC$7,451.59
  • ethereum
    ETH$148.83
  • bitcoin
    BTC$7,451.590.341%
  • ethereum
    ETH$148.831.23%
    • Market Updates
    • BTC Analysis
    • ETH Analysis
    • XRP Analysis
    • Interviews
    The lowest Bitcoin volatility since May 2017: Is it time for a move? (Updated)
    Home » Crypto News » The lowest Bitcoin volatility since May 2017: Is it time for a move? (Updated)

    The lowest Bitcoin volatility since May 2017: Is it time for a move? (Updated)

    Author: Toju Ometoruwa Updated Aug 28, 2019 @ 16:48

    Volatility in the price of Bitcoin has hit its lowest point since May 2017. The 30-day estimate shows that Bitcoins volatility has only been 1.71%, while the 60-day estimate is 2.43%.

    btc_volatility
    Bitcoin Volatility. Source: buybitcoinworldwide.com

    The larger trend shows that as the price has increased over the years, volatility has decreased

    volatility_price2-min
    Bitcoin Volatility vs. Price. Source: buybitcoinworldwide.com

    A Sign that investors are choosing to hold their BTC?

    Low volatility is usually a sign that investors are simply holding onto their Bitcoins, as opposed to buying or selling. This may be due to the anticipation of an upcoming event, like a possible Bitcoin ETF approval on October 26th, or the fact that more investors are starting to see Bitcoin as a store of value like Gold. A more stable Bitcoin market could actually benefit the remaining ETF applications that the SEC has to review. The price of Bitcoin has traditionally experienced significant pumps and dumps around the time an ETF application was being reviewed. This has probably discouraged the SEC from approving a Bitcoin ETF because of the fear that the markets could be manipulated. If the Bitcoin price remains steady all the way to the end of October, the SEC may see this as a sign that the markets are operating with ‘good behavior’ and approve the ETF.

    If manipulation has been occurring in the markets, the low volatility could be a sign that it is becoming more difficult for whales to manipulate the price of Bitcoin.

    “The low volatility is also a statement that price manipulation has perhaps abated. After wild swings and roller coaster rides, Bitcoin looks to have settled into a long-term relationship with its investors, who are not speculating their days away and appear to be in it for the long haul.”

    – Says FXEmpire financial expert Bob Mason

     It could be the case that the traditional methods crypto whales use to manipulate the price of BTC have less of an effect on investors, who are now focused on longer time horizons, and are therefore unfazed if they lose or gain a few percentage points along the way.

    Could there be a big move coming soon?

    It should be noted that the 30-day volatility experienced on May 1st, 2017 (1.63%) was followed up by a volatility of 5.18% on June 19th and 6.97% on August 7th.

    volatility3.jpg-minvotalitily4-minvolatility5-min

    The data suggests that there may be a big move coming within the next month or so which could bring higher volatility back to the BTC price.

    Ultimately, low volatility is a positive sign for long-term investors, but a negative to day traders, who make their profits off the extreme daily swings experienced in the crypto space. At this stage, it seems like an ETF approval is the only real catalyst that could push the price of Bitcoin high enough to bring back the same levels of volatility experienced during the earlier half of 2018. Until then, day traders and speculators will either have to trade the low volatility for smaller gains or simply hold their position like everyone else.

    Market Update October 12

    Bitcoin finally experienced a hefty amount of volatility on October 11th, although perhaps not in the direction

    tweet_Yuri6-min
    Source

    most traders would have wanted: BTC dropped by about $300 (or 5%), and ETH lost 11% of its value.

    Although there is no clear reason for the price drops, some are speculating that traders in the Asian markets began selling their crypto in the early hours of the day to pay for unexpectedly big margin calls in the declining stock market.

    Others have speculated that the recent suspension of fiat deposits on Bitfinex may have led to the crash.

     

     

    Last week the exchange was reported to have moved their fiat funds from Noble Bank in Puerto Rico to HSBC. However, Bitfinex was actually banking with HSBC through a private account via Global Trading Solutions. It’s possible that HSBC was not aware of their banking relationship with Bitfinex, and upon finding out, may have suspended or even closed the account. These issues have also led to insolvency rumors being spread about the

    price_difference-min
    Difference in BTC price

    exchange, creating further FUD that may have contributed to the decline.

    Yesterday the price of BTC on Bitfinex was $100 higher than on GDAX and Bitstamp. This price discrepancy was likely due to the lack of fiat deposits on the exchange.

    Regardless of the reason, the return of volatility to the market should help create a sense of normalcy that was missing during the 2 weeks of consolidation, even though the overall sentiment still remains bearish.

    Be the first to know about our price analysis, crypto news and trading tips: Follow us on Telegram or subscribe to our weekly newsletter.

    You might also like:

    The US IRS Wants To Know How You Got Your Bitcoin

    The US IRS Wants To Know How You Got Your Bitcoin

    Anthony Pompliano: Bitcoin Price At $100,000 By December 2021 (Exclusive Pomp Interview)

    Anthony Pompliano: Bitcoin Price At $100,000 By December 2021 (Exclusive Pomp Interview)

    As New Week Starts, Bitcoin Price Is About To Take a Critical Decision (BTC Analysis & Overview)

    As New Week Starts, Bitcoin Price Is About To Take a Critical Decision (BTC Analysis & Overview)

    What Are Bitcoin Price Gaps? How Can They Affect The Price?

    What Are Bitcoin Price Gaps? How Can They Affect The Price?

    Ethereum’s Istanbul Hard Fork Is Now Live: What to Expect

    Ethereum’s Istanbul Hard Fork Is Now Live: What to Expect

    Bitcoin Price is Likely To Re-Test $4,400 Before Turning Bullish Again, Prominent Analyst Explains

    Bitcoin Price is Likely To Re-Test $4,400 Before Turning Bullish Again, Prominent Analyst Explains

    Tezos Price Analysis: XTZ Climbs To $1.40 But Can It Go Higher?

    Tezos Price Analysis: XTZ Climbs To $1.40 But Can It Go Higher?

    Bitcoin Is Ready For Another Volatile Weekend: Saturday Crypto Market Watch

    Bitcoin Is Ready For Another Volatile Weekend: Saturday Crypto Market Watch

    Weekly Market Summary: Records Are Breaking As Bitcoin Stuck Above $7000

    Weekly Market Summary: Records Are Breaking As Bitcoin Stuck Above $7000

    Crypto Price Analysis & Overview December 6th: Bitcoin, Ethereum, Ripple, Raven, and Matic

    Crypto Price Analysis & Overview December 6th: Bitcoin, Ethereum, Ripple, Raven, and Matic

    Turn Of Events: General Manager of BIS Urges Central Banks To Embrace Digital Money

    Turn Of Events: General Manager of BIS Urges Central Banks To Embrace Digital Money

    Is Binance Bidding For Lichtenstein Union Bank? Binance CFO Denies

    Is Binance Bidding For Lichtenstein Union Bank? Binance CFO Denies

    HODLing Millennials: Bitcoin Trust (GBTC) Leading Schwab’s Generation-Y Retirement Equity Holdings

    HODLing Millennials: Bitcoin Trust (GBTC) Leading Schwab’s Generation-Y Retirement Equity Holdings

    Bitcoin Price Analysis: BTC to $6000 Or $8000? Bulls Vs. Bears War Continues

    Bitcoin Price Analysis: BTC to $6000 Or $8000? Bulls Vs. Bears War Continues

    Enjin (ENJ) Surges 60% Following Partnership With Microsoft

    Enjin (ENJ) Surges 60% Following Partnership With Microsoft

    Ethereum Price Analysis: Can ETH Finally Break Above $150?

    Ethereum Price Analysis: Can ETH Finally Break Above $150?

    Bitcoin Breaks Records: $8.9 Billion Processed In An Hour

    Bitcoin Breaks Records: $8.9 Billion Processed In An Hour

    Who Wants Bitcoin For $680? A Sudden Flash Crash On Binance USDS Market Sank BTC Price

    Who Wants Bitcoin For $680? A Sudden Flash Crash On Binance USDS Market Sank BTC Price

    DigiByte (DGB) Getting Delisted From Poloniex Just Hours After Bashing Tron On Twitter

    DigiByte (DGB) Getting Delisted From Poloniex Just Hours After Bashing Tron On Twitter

    Whale Alert: Bitcoin Worth $313 Million Was Sent from Bittrex Exchange to Unknown Wallet

    Whale Alert: Bitcoin Worth $313 Million Was Sent from Bittrex Exchange to Unknown Wallet


    About The Author

    Toju Ometoruwa View more posts by this author

    Toju Ometoruwa is a Northeastern University alumni who is the co-founder of Pazima, a start-up that provides secure lending options for low-income workers. His passion is to empower communities across the African diaspora through the blockchain.

    Join Our Community

    • Facebook

    • Twitter

    • YouTube

    • Telegram


    CloudBet
    Bitcoin Editorials

    Anthony Pompliano: Bitcoin Price At $100,000 By December 2021 (Exclusive Pomp Interview)

    Anthony Pompliano: Bitcoin Price At $100,000 By December 2021 (Exclusive Pomp Interview)

    Dec 8, 2019

    What Are Bitcoin Price Gaps? How Can They Affect The Price?

    What Are Bitcoin Price Gaps? How Can They Affect The Price?

    Dec 8, 2019

    Bitcoin Price is Likely To Re-Test $4,400 Before Turning Bullish Again, Prominent Analyst Explains

    Bitcoin Price is Likely To Re-Test $4,400 Before Turning Bullish Again, Prominent Analyst Explains

    Dec 7, 2019

     2 Years Since the Bitcoin Bubble: How Easy is it to Buy Cryptocurrencies Compared to 2017? 

     2 Years Since the Bitcoin Bubble: How Easy is it to Buy Cryptocurrencies Compared to 2017? 

    Nov 20, 2019

    Become a CryptoPotato VIP

    Receive our market updates and crypto trading tips and news by email (We hate spam, and send max of 1 weekly mail):


    Recent Posts
    • The US IRS Wants To Know How You Got Your Bitcoin

      The US IRS Wants To Know How You Got Your Bitcoin

      Dec 9, 2019
    • Anthony Pompliano: Bitcoin Price At $100,000 By December 2021 (Exclusive Pomp Interview)

      Anthony Pompliano: Bitcoin Price At $100,000 By December 2021 (Exclusive Pomp Interview)

      Dec 8, 2019
    • As New Week Starts, Bitcoin Price Is About To Take a Critical Decision (BTC Analysis & Overview)

      As New Week Starts, Bitcoin Price Is About To Take a Critical Decision (BTC Analysis & Overview)

      Dec 8, 2019
    • What Are Bitcoin Price Gaps? How Can They Affect The Price?

      What Are Bitcoin Price Gaps? How Can They Affect The Price?

      Dec 8, 2019
    • Ethereum’s Istanbul Hard Fork Is Now Live: What to Expect

      Ethereum’s Istanbul Hard Fork Is Now Live: What to Expect

      Dec 8, 2019
    Become a CryptoPotato VIP
    Receive our special crypto tips and news by email: We hate spam, and send max of 1 weekly mail
    About
    Advertise on CryptoPotato
    About Us | Contact Us

    Scholarship
    Cannabis Stock News
    Stock Analysis & Overview
    Terms of service | Privacy Policy | GDPR
    Disclaimer
    Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. Full disclaimer
    © Copyright Cryptopotato Team 2016
    Scroll to top